RE: RNS - Tati Gold - Two Significant Anomalies Identified15 Sep 2023 09:18
The market values Tati at pretty much zero at today's prices. Just like the market values POW's Athabasca projects (that are not earmarked for the UEE IPO) at pretty much zero too as well as Molopo. Tati & Molopo especially have found hints of what POW are looking for (Nickel & Gold). Certainly not worth next to £0 for me!
With a £16mil balance sheet and £17mil market cap, it screams buy if you think Tati, Athabasca, Molopo etc. hold any promise whatsoever. Yes its all early stage exploration but for me POW are just getting a lot of their projects to "drill ready status". When the markets improve they will have a much easier time of attracting interest through JV's, IPO disposals, outright disposals etc. with more appealing drill targets. At the minute, with AIM markets obliterated, its difficult for POW to attract any attention and they want to conserve capital so that they don't have to raise funds at weak prices again or sell their investments. POW today with probably £1.75mil in the bank and over £2mil in tradable investments (KAV & FCM shares) so sitting prettier than most from a finance point of view.
Great to see POW holding that 1000km2 Athabasca land. The recent Uranium surge (which will almost certainly continue longer term) will see the big boys posting larger profits. Those profits then get used for expansion and M&A activity will be crazy in the Uranium sector. Eventually the increased capital in the Uranium sector will dribble down the chain to the juniors. Unfortunately, the London juniors will most likely be the last to see that capital but they will see it one day if the Uranium sector continues as it does. POW now have one solid drill target in the Athabasca after last week's Helium update. More drill target RNS to follow I would suspect in the near term.
Tati with small drill hits in 2022 of 40g/t+ gold with all infrastructure in place locally for tailings processing and POW have an old working mine on their licenced ground. Again, hardly worth a £0 price tag when markets pick up.
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